Hunter Paschall

You think short sales are tough? All it is, is doing what you have been doing all your life. Go way back when your mom or dad said no. What did you do? How did you respond? Did you just say okay?

That's all it is, asking for something you want and negotiating and explaining in a persuasive way why you should have it.

Look at the bank (loss mitigation department) as your parents. I don't know about you but when my parents said no I would figure out another way to present my case and go at it again. I remember when I wanted a mini bike. You know, one of those dangerous toys that you could get yourself killed on by someone running you over because you rode it down the street.

I did not get it on my first request. It took me a few tries to negotiate why I should get the mini bike. I just provided better information to them and stayed persistent. And guess what, just before Christmas, not long after I had requested why I think I deserved the bike, my father and I went out shopping looking for a mini bike.

I was negotiating the best and coolest bike that I could find. Did I get exactly what I wanted? NO, I got an even better one. It was a HUNTER green mini chopper and it was so cool. Better then I could ever have expected.

Well that is how I negotiate with the banks. I present my request and shop around looking for the lowest price I can offer and I go for it. I might get an answer of "no" the first time but that will never stop me from thinking of another way to negotiate with that bank mitigator. For example, providing pictures, low comps, REO listings, etc…

The Loss mitigation department will sometimes counter back and guess what, I had offered so low that they came with a counter of a few thousand more than what I had offered. I was good with that because I had a buyer waiting with a price I had negotiated with them to sell the property, which was higher than what the bank was willing to accept. It was a WIN, WIN, WIN for everyone.

Here is what you need to request your offer with the bank:

1) Authorization to release information. 2) Hardship letter from the seller. 3) Purchase and sale agreement, matching HUD 1 with your net net net requested price line 504 (and 505 if there are two loans) 4) Financials from seller. (financial worksheet, taxes, bank statements, pay stubs) 5) Proof of funds for your buyer. 6) Listing agreement only (not MLS listing)

Who else have you had to negotiate with throughout your life? Brothers, sisters, grandparents and the list goes on and on. How about all of the school teachers you have had over the years. Did you have to negotiate with your elementary teachers? How about Middle school? Most of us have encountered times when an assignment was due and we didn't have it done. We in turn had to negotiate more time to get it done. How about a test that you did not do so well on? Did you negotiate some extra credit to raise your grade?

Those are just a few of the many examples of things that you negotiate in your life. If you just sit back and think about it, I am sure you will see that every day of your life you negotiate something.

Well the banks are no different. When you learn the lingo and the process you will know exactly how to get a file accepted. Basically all you are doing is following up with them making sure they are doing what they need to do. You know, making sure they received your file and that it goes to the right department. Once it gets assigned it is just a matter of continuing to follow up to make sure your file stays on the mitigators desk as an active one. It is amazing how easy it really is. I promise you it is not hard at all. You just have to be persistent.

I have negotiated a 1st mortgage where I bought a 3300 square foot home for $1,000.00. That's right, a 1st mortgage for only $1,000.00. It was not hard at all. The bank mitigator asked me what I was willing to pay and I responded "What will you take?" Answering a question with a question does work a lot. She finally said "look, I need to know what you will pay." And I replied "a thousand dollars". She laughed and said "They will never take that but I will present it to whoever is in charge and see what they say." My phone rang 15 minutes later and it was the mitiagtor. She said "Guess what? They will take it." I jumped for joy and said "Here is my bank account number." "Seeing as I bank with you just take it directly out of my account."

You see, it is not hard to negotiate. Just stick to your price. Would I have paid more? Probably, but why?

I sold that house later for $150,000 for a profit of $110,000 on one deal!

Good luck negotiating your way to the top.

Hunter Paschall
HP Investment Group, Inc.
407-834-1325
Fax 407-386-7616
hunter@hpinvestment.com
Hunter Paschall's Real Estate Training Events

HUNTERS TRANSFORMATION AS A REAL ESTATE ENTREPRENEUR

In the early 1980’s I read three books by Robert Allen. (Creating Wealth, Nothing Down and The Challenge) After reading those the seed had been planted for my future career. I was working in the family business from the time I graduated high school in 1978. For 20 years I stumbled along selling auto parts to other mom & pop automotive shops and I thought it was great. I bought my first house in the early 1980’s from a motivated seller. I got the antique furniture and lots of other stuff left on the property. I negotiated a lower down payment as well as a lower monthly payment. I thought my greatest accomplishment from this deal is that I owned my home and that I would never have to pay rent again. Little did I know that this house was going to be the first of many in my real estate career. I continued to work with the family business until February 1997 making a whopping $300.00 a week take home pay and working anywhere from 12 to 15 hours a day. I had already bought 3-4 houses at that time but still hadn’t made the break. In late 1996 I cashed a check for $43,000.00 from a house I had controlled for some time. At that time I decided with my future wife’s help that I was going to do real estate full time and not follow in my fathers footsteps as I had been doing for the last 20 years. In late 1998 I joined CFRI and was introduced to Ron LeGrand. I bought several books and tapes while attending one of his one day training events. I read the books and listened to the tapes for months. As I started my quest of being a transaction engineer of buying and selling real estate, it just so happened that my father approached me with a judgment letter with a foreclosure sale date set for only 5 days away. With all the training I had I was in a position to save my own fathers house. I worked with the bank and stopped the house from going to sale and then put the property into a trust. Bottom line was that I saved my parents home that they had lived in for 20 years as well as the $50,000.00 equity that had accrued over the years. Now I knew without a doubt that this stuff really worked.

Over the last 8 years I have continued going to seminars, boot camps and telling everyone I knew that I was buying and selling homes. Eventually I started getting the deal of the month at local real estate meetings and people started to really know my name in the business. Now with over 100 deals negotiated and closed I am still loving this business and I am continuing to buy and sell real estate. I have trained others to do what I do which includes but is not limited to commercial buying, lease options, subject to’s, short sales, forbearances and cashing checks as large as $300,000 plus on one deal.My wife Debbie and I now live in one of the homes that I negotiated a short sale on. It is just one of our Dream homes that we have today. I can’t express to you enough that this business really works and that God has really blessed us along the way to financial freedom.

I have encountered a rare life that has all the enjoyment of the past the present and the future. I have learned from my past. I enjoy today. The future is a vision of what can be in stored for me. I believe that I was inspired to do great things while I am here and help others in my path. I am blessed with a beautiful wife and two children that warm my life. I have many talents that keep me into today the one I like best is interacting with people and watching and learning from them every day." Have a Fantastic Day" Enjoy life and go for it!!! take a risk.